Private Flood Could Generate $41.6 Billion in Premiums
A new analysis from Verisk indicates that reviving the private flood insurance market in the United States could generate $41.6 billion in written premiums for insurers from owner-occupied homes. The data analytics provider found that 62 million residential locations in the United States could be at moderate to extreme flood risk.
“The need for flood insurance far exceeds the current take-up rate. Our study shows just how many homeowners are at significant risk for flooding and how big the opportunity is for insurers looking to find a new avenue for growth,” said Marc Treacy, managing director of flood insurance at Verisk. “Recent flooding events have challenged the long-held perception that flood insurance is only for those homes in FEMA high-hazard zones or along the coast.”